date: 2004-09-03 page: 1 purpose of the shtokman seminar hydro’s objective is to initiate early...
TRANSCRIPT
Date: 2004-09-03 • Page: 1
PURPOSE OF THE SHTOKMAN SEMINAR
Hydro’s objective is to initiate early collaboration with Russian and international suppliers to prepare for efficient supplies of equipment and materials to the Shtokman project. LOL represents a successful model of such collaboration, which can also be applied in Russia.
Hydro wishes to inform about its initiatives in Russia that may create business opportunities also for LOL members in such areas as: direct supplies to the project, supplies in cooperation with Russian suppliers, establishment of the Shtokman supplier association.
BENEDIKT HENRIKSEN
Molde 23. mai 2005
SUPPLIER DEVELOPMENT PROGRAM IN RUSSIA
Date: 2004-09-03 • Page: 3
BARENTS SEA
Date: 2004-09-03 • Page: 4
GAZPROM DESIGN BASIS FOR SHTOKMAN
Date: 2004-09-03 • Page: 5
Strong gas postion
Russia's next oil rig may look like this
Date: 2004-09-03 • Page: 6
HYDRO’S SHTOKMAN CONCEPT PROPOSAL
New concept in 2003. 30 % estimated cost reduction.
Date: 2004-09-03 • Page: 7
Production of LNG
СПГ: Штокман (Россия) Liquefied Natural Gas: Shtokman (Russia)
Date: 2004-09-03 • Page: 8
SHTOKMAN PHASE I – LNG ALTERNATIVE
Date: 2005-05-23 • Page: 9
US Marked:Behov /Tilbud av Gass i US markedet
500
550
600
650
700
1990 2000 2010 2020
BC
M/y
r
LNG
Canadian Imports
Domestic Production
Demand
Alaska
Date: 2004-09-03 • Page: 10
Hydro’s goal
ДОБЫЧА
UPSTREAM
СЖИЖЕНИЕ
LIQUEFACTION
ТРАНСПОРТ
SHIPPING
РЕГАЗИФИКАЦИЯ
REGASIFICATION
РЫНОК
MARKET
ДОБЫЧА
UPSTREAM
СЖИЖЕНИЕ
LIQUEFACTION
ТРАНСПОРТ
SHIPPING
РЕГАЗИФИКАЦИЯ
REGASIFICATION
РЫНОК
MARKET
15-20 % OWNERSHIP
ROLE – TECHNICAL OPERATOR
Date: 2004-09-03 • Page: 11
Project Scedule
SHTOKMAN PROJECTPRODUCTION
2010
Memorandum
of
Understanding
2004
Concept
Studies
2004-2005
Establishment
Of
International
Consortium
2005
Engineering &
Procurement
2006-2007
Fabrication
start
2007
Date: 2004-09-03 • Page: 12
THERE ARE NOT JUST NATURAL RESOURCES IN RUSSIA
Date: 2004-09-03 • Page: 13
ENERGISAMARBEID NORGE - RUSSLAND
Felles erklæring mellom President Putin og Statsminister Bondevik, november 2002.
Viktige elementer i energisamarbeidet som nevnt i felles erklæringen er:
“Support commercial co-operation between Russian and Norwegian companies in oil and gas exploration, production, processing and transportation.
Expand co-operation for advanced technology and equipment for oil and gas extraction on the continental shelf and on-shore in the north.
Welcome Norwegian companies’ participation in the Shtokman field development.
Facilitate co-operation between the supplier industry in the two countries”
Date: 2005-05-23 • Page: 14
PSA REQUIREMENTS
PSA is required to include specific obligations of investors with respect to:
preferential treatment of Russian contractors (including suppliers) for performance of work under PSA (preemptive right of Russian contractors)
no definition of preemptive right
not clear who is considered a Russian contractor
purchase of Russian materials and equipment:
not less than 70% (in value) each year
materials and equipment are considered Russian if they are manufactured:
• by Russian entities • in Russia and• from not less than 50% of Russian components and materials
Date: 2005-05-23 • Page: 15
BACKGROUND
• Result of Joint Declaration by President Putin and Prime Minister Bondevik, November 2002
• Hydro’s engagement in the Shtokman gas field project in the Barents Sea
GOAL :• To map current status of supplier industry• To motivate supplier industry for development • To assist supplier industry to cover identified gaps
PROJECT PARTNERS:• Sevmorneftegaz (Russia)• Arkhangelsk and Murmansk regional administrations (Russia)• Barents Secretariate (Norway)• Finnmark county administration (Norway)• Innovation Norway fund (Norway )• Sør Varanger commune (Norway)
Date: 2004-09-03 • Page: 16
PROJECT ORGANISATION
CommunicationsHydro
Project managerHydro
v/ Benedikt Henriksen
Project Consultants
Coordination CommitteeSevmorneftegaz
Murmansk&Arkhangelsk administrationBarentssecretariate
Finnmark CountyInnovation Norway
Sør Varanger commune
Technical consultants
Aker Kværner / FMC
Shtokman ProjectHydro
v/ Bengt Lie Hansen
Date: 2004-09-03 • Page: 17
SURVEY ANALYSIS FEEDBACK INITIATIVES
SUPPLIER
DEVELOPMENT
PROGRAM
PHASE I
”SURVEY”
2003
PHASE II
”FEEDBACK & INITIATVES”
2004
PHASE III
”IMPLEMENTATION”
2005
PROJECT OVERVIEW
Date: 2004-09-03 • Page: 18
Analysis
Suppliers show high levels of motivation and openness required by the O&G industry
Suppliers demonstrated limited knowledge of management system requirements of O&G industry
The survey has identified lack of common criteria/standards required for efficient qualification process
The survey has identified gaps between the range of product/services offered in NW Russia and those required by the O&G industry
Date: 2004-09-03 • Page: 19
Analysis
Local suppliers can benefit by meeting requirements of O&G industry in terms of: number of suppliers range of products and services quality systems HSE management systems
Fulfilment of the demands and closing the identified gaps can be accelerated by increased cooperation between suppliers from Norway and NW Russia
Date: 2004-09-03 • Page: 20
DETALJERT VURDERING AV 13 SELSKAPER
ZvezdochkaEngineering
Mostootryad No 9
Murmansk Ship Yard
Murmansk Ship Repair Yard
Apatitstroi
Sevzapstalkonstrukciya
SPO Arctica
Vikom
NIPTB Onega
Krasnaya Kuznitsa
Sevzapenergomontazh
Amige
Murmanskpromproekt
Date: 2005-05-23 • Page: 21
WORK IN MURMANSK REGIONSEVZAPSTALKONSTRUKCIYA
APATITSTROI
MURMANSK SHIPYARD
MURMANSK SHIPREPAIR YARD
Date: 2005-05-23 • Page: 22
WORK IN ARKHANGELSK REGION
SPO ARCTIKA
VIKOM
KRASNAYA KUZNITSA
KRASNAYA KUZNITSA
NIPTB ONEGA
SEVZAPENERGOMONTAZH
MOSTOOTRYAD # 9
ZVEZDOCHKA ENGINEERING
Date: 2004-09-03 • Page: 23
SURVEY ANALYSIS FEEDBACK INITIATIVES
SUPPLIER
DEVELOPMENT
PROGRAM
PHASE I
”SURVEY”
2003
PHASE II
”FEEDBACK & INITIATVES”
2004
PHASE III
”IMPLEMENTATION”
2005
PROJECT OVERVIEW
Date: 2005-05-23 • Page: 24
Work programme - Objective
.
ГазпромМеморандум о
Взаимопонимании
MOU
Review and compare field development alternatives, reservoir to market, limited to Phase I
Assessment of different technologies for gas liquefaction (LNG) and plant location (Onshore/Offshore)
Evaluate LNG transport and market, including competitiveness of SGCF
Analysis of the whole gas value chain, including re-gasification participation and commercial cooperation
Organisation of financial structure, including tax and risk assessments.
Possible participation of Gazprom in other Hydro projects and vice versa
Date: 2005-05-23 • Page: 25
Work programme
Technical Market studies Commercial work
ДОБЫЧА
UPSTREAM
СЖИЖЕНИЕ
LIQUEFACTION
ТРАНСПОРТ
SHIPPING
РЕГАЗИФИКАЦИЯ
REGASIFICATION
РЫНОК
MARKET
ДОБЫЧА
UPSTREAM
СЖИЖЕНИЕ
LIQUEFACTION
ТРАНСПОРТ
SHIPPING
РЕГАЗИФИКАЦИЯ
REGASIFICATION
РЫНОК
MARKET
Date: 2005-05-23 • Page: 26
DELIVERIES TO GAZPROM
Final report to Gazprom
First draft 29th of April 2005 Final report 12th of May 2005
Summary report
Concept report
Procurement strategy
Date: 2005-05-23 • Page: 27
SURVEY ANALYSIS FEEDBACK INITIATIVES
SUPPLIER
DEVELOPMENT
PROGRAM
PHASE I
”SURVEY”
2003
PHASE II
”FEEDBACK & INITIATVES”
2004
PHASE III
”IMPLEMENTATION”
2005
PROJECT OVERVIEW
Date: 2004-09-03 • Page: 28
HYDRO’S SUPPLIER DEVELOPMENT PROGRAM
1.
IDENTIFICATION
OF
SUPPLIERS
2.
MEASURES TO
COVER NEEDSDELIVERABLE
3.
PREQUALIFIED
SUPPLIERS
2.1
COMPETENCE
2.2
COOPERATION
2.3
TOOLS
1.1
RESEARCH
& ASSESSMENT
3.1
SHTOKMAN
LONG LIST
3.2
JOINT
REGISTER
SUPPLIER DEVELOPMENT PROGRAM
DELIVERABLE
2.3.1
Registration in Achilles Norway
2.3.3
Establishment of Achilles Russia
2.2.3
Shtokman Supplier Assoc
2.2.1
Partner Search2.1.1
CompetenceCentre
2.1.2Academic
Date: 2004-09-03 • Page: 29
CHALLENGES
ROGALAND REGION:BEFOLKNING: ~0,4 mill ANTALL LEVERANDØRER: >500
ARKHANGELSK & MURMANSK REGIONER:BEFOLKNING: ~3 millANTALL LEVERANDØRER: < 20
Date: 2004-09-03 • Page: 30
IDENTIFICATION OF SUPPLIERS
0
50
100
150
200
250
300
350
400
2003 2004 2005
Identified Suppliers
Assessed in details
Date: 2004-09-03 • Page: 31
SUPPLIER INFORMATION (I)
Date: 2004-09-03 • Page: 32
SUPPLIER INFORMATION (II)
Date: 2004-09-03 • Page: 33
MEETINGS WITH COMPANIES 2004 - 2005
ZvezdochkaEngineering
Mostootryad No 9
Murmansk Ship Yard
Murmansk Ship Repair Yard
Apatitstroi
Sevzapstalkonstrukciya
SPO Arctica
Vikom
NIPTB Onega
Krasnaya Kuznitsa
Sevzapenergomontazh
Amige
Murmanskpromproekt
Date: 2005-05-23 • Page: 34
COMPETENCE CENTER
Establishment of Competence Center in Northwest Russia
Announced at the Arctic Shelf conference 17th of November 2004
Planned start of operation is 1st of January 2006
Location will be decided during 2005
Date: 2005-05-23 • Page: 35
ACTIVITIES
TRAINING COURSES•BID MANAGEMENT & PROCUREMENT•QUALITY ASSURАNCE •HEALTH, ENVIRONMENT & SAFETY•PROJECT MANAGEMENT (O&G) •TECHNICAL STANDARDS•RISK MANAGEMENT•INTERCULTURAL RELATIONS•PROFESSIONAL COURSES (welding, etc.)
MARKET KNOWLEDGE•MARKET INFORMATION •INTERNATIONAL PARTNER SEARCH•CONTACTS WITH O&G COMPANIES •NEW TECHNOLOGY AND PRODUCTS
PRACTICAL GUIDANCE•BUSINESS ESTABLISHMENT •QUALIFICATION & CERTIFICATION•PROJECT FINANCING
Date: 2005-05-23 • Page: 36
Scholarships and Trainee Programs
Hydro has the following plans for scholarships and trainee programs commencing in 2005
• Outplacement of Russian young professionals within Hydro and /or Hydro’s main contractors (1-6 months)
• Sponsor equipment, professional literature, software, lab, etc. for educational institutions in Russia• 2 years scholarship for bachelors from NW Russia to take Master education (MSc) at Gubkin O&G
University, Moscow • Sponsorship of Aspirant (MSc) from NW Russia within SUBSEA to become Candidate of Science
(PhD)
Hydro’s goal is to support the future need for competence and to create job opportunities within the Russian market
Date: 2005-05-23 • Page: 37
PARTNER SEARCH
Partner search is important to approach the requirement for use of local content
Norwegian/international suppliers will meet Russian suppliers
Well planned
Arrangement will take place probably August-September 2005
Date: 2005-05-23 • Page: 38
HYDRO’S SUPPLIER DEVELOPMENT PROGRAM
1.
IDENTIFICATION
OF
SUPPLIERS
2.
MEASURES TO
COVER NEEDSDELIVERABLE
3.
PREQUALIFIED
SUPPLIERS
2.1
COMPETENCE
2.2
COOPERATION
2.3
TOOLS
1.1
RESEARCH
& ASSESSMENT
3.1
SHTOKMAN
LONG LIST
3.2
JOINT
REGISTER
SUPPLIER DEVELOPMENT PROGRAM
DELIVERABLE
2.3.1
Registration in Achilles Norway
2.3.3
Establishment of Achilles Russia
2.2.3
Shtokman Supplier Assoc
2.2.1
Partner Search2.1.1
CompetenceCentre
2.1.2Academic